Amazon DSP: Streaming TV Ads Boost QSR Brand ROAS by 25%+

Key Takeaways Amazon DSP (Demand-Side Platform) streaming TV ads are driving offline purchases for Quick Service Restaurant (QSR) brands, achieving a 25% higher Return on Ad Spend (ROAS) compared to industry benchmarks and opening new avenues for ad effectiveness measurement.

What This Announcement Means Amazon Ads recently released the findings of a study on Amazon DSP streaming TV campaigns targeting Quick Service Restaurant (QSR) brands. This research analyzed over 30 campaigns from 17 QSR brands, demonstrating how digital ad exposure translates into real-world offline purchases, including in-store visits, drive-thru orders, deliveries, and cash transactions. A key finding was that Amazon DSP streaming TV campaigns achieved an incremental ROAS (iROAS) of $1.74, which is 25% higher than the QSR Connected TV (CTV) industry benchmark. Notably, campaigns leveraging multiple platforms, such as live sports and streaming TV, achieved an even higher iROAS of $2.08—a 77% increase compared to single-platform campaigns—proving the effectiveness of a multi-platform strategy. This signifies that by utilizing Amazon DSP streaming TV ads and Amazon Marketing Cloud (AMC), Amazon has successfully established a link between digital advertising and offline purchases, a connection that was previously difficult to measure.

How Sellers Can Leverage This 1. Understand Advanced Ad Performance Measurement: Amazon precisely tracks how ad exposure leads to actual purchases, identifying and optimizing incremental sales. Sellers can gain confidence in their ad strategy by deeply analyzing metrics like ROAS and New-to-brand customers in the Ad Console, and by understanding Amazon's advancements in measurement technology. 2. Consider a Multi-Platform Ad Strategy: This study shows that leveraging diverse Amazon streaming TV environments significantly boosts ad effectiveness. General sellers can consider combining various Amazon ad products like Sponsored Products, Sponsored Brands, and Sponsored Display to approach potential customers from multiple angles. 3. Expand Brand Awareness and Adopt a Long-Term Perspective: Streaming TV ads are effective for enhancing brand awareness. While Amazon DSP is typically suited for high-budget brands, this case suggests that Amazon is expanding its ad reach into customers' "living rooms." Sellers can think about how their brand can be exposed across Amazon's various content environments (e.g., Sponsored Brands video ads on Fire TV) and allocate their budget with a long-term brand-building perspective.

Important Considerations 💡 This study was conducted for QSR (Quick Service Restaurant) brands in the US market. Amazon DSP (Demand-Side Platform) and streaming TV advertising are generally advanced solutions accessible to brands with large budgets or through an Amazon Ads account representative. General sellers can attempt similar strategic approaches by utilizing the Sponsored Ads products available in the Amazon Ad Console.

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